What is Bitcoins - an Introduction of Bitcoins
- 1. 1 Bit Coins – Can it pose challenge to Existing System? By Lokesh Aggarwal
- 2. 2 POPULAR OPINION ??? "Bitcoin is a technological tour de force." Bill Gates (Microsoft Co-founder) "I'm a big fan of Bitcoin … Regulation of money supply needs to be depoliticized. “ Al Gore (Former US vice president) "Every informed person needs to know about Bitcoin because it might be one of the world's most important developments." Leon Louw (Nobel Peace Prize nominee)
- 3. 3 BITCOINS, WHAT??? • Bitcoin is a form of Digital Currency • Created and held Electronically • Produced by lots of people running Computers all around the world using Software • Bitcoins aren’t printed like Dollars or Euros • Bitcoin client software called a Bitcoin Wallet allows a user to transact Bitcoins
- 4. 4 FATHER OF BITCOINS - Satoshi Nakamoto • Created the Bitcoins protocol and reference software • Published a paper on the Cryptography Mailing list in 2008 • Released the first Bitcoin software in 2009
- 5. 5 UNITS OF BITCOINS ??? • Bitcoin can be broken up into small fragments of 0.00000001 BTC, which is one hundred millionth of a Bitcoin. • This unit is called satoshi in homage to Bitcoin's creator. Satoshi is the smallest, atomic fragment of Bitcoin. • There are also two other subunits of Bitcoin, and those are called Millibitcoin (mBTC) and Microbitcoin (µBTC). • One Millibitcoin equals to 0.001 BTC, which is one thousandth of Bitcoin, or 100,000 Satoshis, or 1,000 µBTC. • One Microbitcoin equals to 0.000001 BTC, which is one millionth of Bitcoin, or 100 Satoshis, or 0.001 mBTC. • Microbitcoins are sometimes referred to as simply bits.
- 6. 6 FEATURES ??? Easy - Send Bitcoin from your computer, tablet, smart phone or other device, to anyone, anywhere in the world, day or night Secure - Bitcoin verifies transactions with the same state-of-the-art encryption that is used in military and government applications. Open - Bitcoin is open-source. Nobody owns it; the most popular client is maintained by a community of open-source developers. Fair - Using the Bitcoin network is free, except for a voluntary fee you can use to speed up transaction processing.
- 7. 7 USE IN CRIMINAL ACTIVITIES??? "Like cash, it can be used for ill as well as for good.” • Money laundering • Use in Black markets • Bitcoin theft • Malware • Unauthorized mining • Malware stealing Bitcoins
- 9. 9 LEGAL STATUS OF BITCOINS ??? Country Legal Country Legal Australia Yes Ecuador No Austria Yes Finland Yes Bangladesh No Germany Yes Belgium Yes Hong Kong Yes Bolivia No Iceland No Brazil Yes India Restricted Bulgaria Yes Indonesia Restricted Canada Yes Israel Yes China Restricted Japan Yes Colombia Yes Jordan Restricted Denmark Yes Kyrgyzstan No Source: - Wikipedia
- 10. 10 LEGAL STATUS OF BITCOINS ??? Country Legal Country Legal Lebanon Restricted Switzerland Yes Lithuania Yes Taiwan Restricted Malaysia Yes Thailand Yes Norway Yes Turkey Yes Philippines Yes United Kingdom Yes Poland Yes United States Yes Russia Restricted Vietnam Yes Slovenia Yes Singapore Yes South Korea Yes Source: - Wikipedia
- 11. 11 BITCOINS VS RBI ??? • On 24 December 2013, the Reserve Bank of India issued an advisory to the Indian public not to indulge in buying or selling of virtual currencies, including Bitcoin. • On 28 December 2013, the Deputy Governor of the RBI, K. C. Chakrabarty, made a statement that RBI had no plans to regulate Bitcoins. • The consolidated legal position in the month of August 2014 is that the legality of Bitcoin is in doubt in India. • ED believes that Bitcoins money can be used for hawala transactions and funding terror operations.
- 12. 12 Thank You!!!